FX.co ★ Elliott wave analysis of EUR/JPY for December 26, 2018

The EUR/JPY pair is declining and should now be below the minor resistance at 126.75 to continue its movement towards the long-term target seen at 123.66.

In the short term, we see support near 125.88, which may make the first test for a corrective rally close to resistance at 126.75, and this rally will probably include another decline towards at least 125.20 and then towards the perfect target seen at 123.66.

R3: 126.75

R2: 126.25

R1: 125.92

Pivot: 125.62

S1: 125.31

S2: 125.20

S3: 124.89

Trading recommendation:

We are short from 128.05 and we will move our stop lower to 127.05.